Resource: Douglas v. Independent Living Center of Southern California


February 22, 2012

The California Legislature approved a series of cutbacks in the payments to physicians, hospitals and pharmacies to address the state's budget deficit. In each case, the providers have sued in federal court and won rulings from the United States Court of Appeals for the Ninth Circuit, which blocked the cutbacks on the grounds that they conflicted with the Medicaid law. The providers argued that if the cutbacks were approved, the state would not provide the level of care required under Medicaid. The Supreme Court agreed to hear three separate appeals from the state, all of which raise the same issue. The lead case is Maxwell-Jolly v. Independent Living Center of Southern California. The other two cases are Maxwell-Jolly v. California Pharmacists Association and Maxwell-Jolly v. Santa Rosa Memorial Hospital. David Maxwell-Jolly served as the director of California's Department of Health Care Services.